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Sunday, July 21, 2013

Petition TO Indian Banks Association For Bipartite Settlement

Why indefinite strike by bank employees is unavoidable?

Government understands the language of violence, disturbances in
public life and destruction of public property. Bank employees in general are
very much simple and devoted workers. Bank employees avoid strike for wage
revision as far as possible and believe in dialogue process with IBA. But it is very much painful that clever and flatterer CMDs of banks who represent Indian
Bankers Association are willfully ignoring the genuine demands of bank employees and wasted twelve months time for nothing . Bank employees on the other hand have patiently tolerated the casual attitude of IBA for last ten months and awaiting patiently and peacefully the positive response from IBA members and union leaders .

Wage revision of bank employees is due since November 2012 and
the charter of demand was submitted to IBA and Ministry of Finance in July 2012.
Government and its representative IBA has been postponing or avoiding even dialogue
process for last ten months. It is sad that government understands the importance
of any demand only when strikers burns the buses and trains, create road jams,
blocks movement of train and what not. This has been seen in the case of
strikers of other departments.

Government comes out of hibernation only when huge loss is incurred to
exchequer. Ministers and the competent authority or labour commissioner have
not understood the gravity of the matter, Genuinity of demand of bank
employees, and seriousness of frustration among bank staff due to delay in wage settlement even after lapse of ten months after the
charter of demand should not be taken lightly by government of India and the IBA, Indian Banks Association
an body which takes part in negotiation with banker's united forum on the issue
of wage revision or other relevant demands.

Government has not tried to assess, understand and realize that workload on
bank employees have multiplied during last two decades due to almost ban or
regulated policy adopted by government on employment in banks during eighties
and nineties, large scale removal of employees under voluntary retirement
scheme VRS of the year 2000, the continuous natural retirement, dismissal and
death of bank employees without fresh recruitment of at least same number of employees.On
the contrary wage structure of bank employees has faced continuous erosion in
pay despite relentless price rise whereas there has been continuous and
disproportionate higher rises in pay of central government and state government
employees.

It is known to all that there has been technological upgradation in banks to a
large extent during last five to six years. It was also made possible only by
the hard labour done by experienced bank employees for more than 12 hours a
day. Without disturbing customer service bankers took it a challenge, accepted
new technology and converted most of the bank’s branches as CBS branch.

Banks opened thousands of new branches and ATM, introduced
E-Banking, Mobile banking, SMS banking, tele-banking and now engaged in serving
the unbanked villagers in the name of financial inclusion. Many other customer
friendly services have been added for the comfort and satisfaction of central
government as well as its customers.

There has been continuous improvement in the services extended
by bankers and it will not be an exaggeration to say that it is the only banks
run by Government which extends services to the maximum possible satisfaction
of its customers even in far flung areas and on the contrary all other
department of the government or most of the PSUs have failed to please their customers.
Such paradigm shift occurred only due to efficiency exhibited by bank employees
without disturbing routine normal works.

After adoption of Core Banking Solution ( called as CBS), Banks has introduced
several other non-banking products like Insurance, demat service, share
trading, selling of mutual fund products, tax collection, old age pension
payment and many other products. It is only bank employees who accept newer and
newer challenges and strive hard to please customers. It is unfortunate that
bank employees are still in bad taste in corridors of Ministers. During
last ten years number of bank staff has come down from 800000 to 700000 whereas
number of branches has almost doubled.

It has to be kept in mind that there has been continuous wage erosion of bank
employees during last two decades whereas on the contrary there has been
quantum jump in the salary of state and central government employees through
fifth and sixth pay commission report implementation. Frustration has been increasing
among bank employees due to indifferent attitude of IBA and inordinate delay in
completion of Xth Bipartite Settlement..

To add fuel to fire media has tarnished the image of bank
employees by creating false hype that bankers are high wage islanders. As a
matter of fact wage disparity has added much discomfort to bank staff and their
families .Indifferent attitude of government has widened to such a large extent
that unemployed youth who join services in bank get disappointed in a year or
two and constrained to leave the service and to opt for better avenues in
private companies. There has been sharp change and reversal in choice and
preference of job seekers. Three decades ago fresher used to prefer joining
bank service than even IAS and IPS services. Present position is that even
fresh graduate and post graduate prefers peon’s job in central services than
joining as officer in a bank.

It is worthwhile to mention here that despite low wages and high work load it
is banks which have been earning profit continuously and growing in profit year
after year. On the contrary most of other businesses run by government are
either showing loss or showing fall in profit or there is position of complete
stagnation or on the verge of closure. Even companies like BSNL is likely to
book loss to the tune of Rs10000/- crore and more. Indian airlines are running
in losses in thousands of crores. All oil companies, fertilizer companies and
many PSU are in losses and running on the aid and ventilator provided by
Government. It is surprising that government had happily increased salary of
even loss making companies by 30 to 60% through sixth pay commission on the eve
of election just to enhance their vote bank and the same government thinks it
fit to ignore genuine demand of 20% wage hike of bank employees on flimsy
ground

Government instead of listening to banks argument in favour of their demand for
at least 40% wage hike has been postponing dialogue on one plea or the other
for ten months It is to kept in mind that bankers are dealing in money and any
dilution in honesty, sincerity and devotion of bank employees may cause irreparable
damage to intrinsic health of banks. As of now corruption in banks is
undoubtedly lower than all other departments of Government and other PSUs.
Exodus of quality people may be harmful to banks. It is an open secret that
banks have been used by politicians to enlarge their vote banks.

I therefore submit this open letter to IBA, Ministry of Finance,
RBI, Prime Minister of India and request all concerned to have a day to day
basis dialogue process so that Xth Bipartite settlement is signed amicably
without resorting of strike by bank employees.

If delay is not stopped by GOI and IBA in amicable settlement, I
have no doubt that bank staff will lose their patience, move on indefinite strike
and ultimately boycott Congress Party and UPA in forthcoming General election. Bank employees
leave no stone unturned to serve the common men at lowest cost by serving even
in rural areas and in critical places. They deserve better treatment for
overall growth of the country, for good health of banks and for soundness of
Indian economy.If bank staff are not given respectable wage hike without much delay , it may have large scale adverse consequences on all economic front and repercussion on social welfare schemes , not to speak of winnability of Congress Party in forthcoming election in state assemblies and for Parliament

I am very much confident that learned Finance Minister will take
necessary steps to ensure signing of wage hike settlement latest by 30th
September 2013.and payment of arrear to all bank staff from November 2012 in
the salary of March 2014.